U.S. Dollar Index Near Six Week Low

The dollar wobbled near a six-week low against a basket of currencies on Wednesday, hurt by the perception the Federal Reserve is in no hurry to trim its monetary stimulus.

On the other hand, year-end repatriations by European banks helped to underpin the euro, as did tighter money market condition and expectations of a banking deal in the euro zone.

“The fall in U.S. bond yields pressured the dollar. Although the Fed is on course to taper its stimulus, it is still not seen as imminent,” said Shinichiro Kadota, chief FX strategist at Barclays in Tokyo.


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